Tesla Inc acted to reduce its total employment by 14% as well as raise the price of the company's electric car (EV) after Chief Executive Officer (CEO), Elon Musk voiced economic concerns.
The decision was reached based on the outlook for worrying global economic conditions including inflation, recession and supply chain problems.
According to sources, Tesla has reduced its job supply from 5,855 to 5,011 starting this month, days after Musk ‘threatened’ to lay off a total of 10% of workers in a bid to adapt to economic pressures.
During the day as well, Tesla had acted to fire Singapore branch company manager Christopher Bousigues without giving a reason and had identified another 20 people to be laid off.
Sprinkling salt on the wounds, Tesla, which has 100,000 employees worldwide, also acted to cancel 3 online recruitment programs in China even though it still maintains the program in some areas in Germany.
On the other hand, Tesla was also found to have raised the selling price of the Model Y EV from $ 62,990 to $ 65,990 according to the company’s official website.
Internal sources stated that the issue of rising prices of raw materials including aluminum forced Tesla to raise prices for some EV models to cover the overall cost of manufacturing.
It turns out that Elon Musk’s status and profile is not immune even in the face of rising inflation as stated in his email over the course of the day.
On top of that, not to be forgotten is also the issue of Musk’s endless acquisition of Twitter adding to investor concerns behind Tesla’s recent drop in performance.
